Mondo Visione Worldwide Financial Markets Intelligence

FTSE Mondo Visione Exchanges Index: 81,880.84 -61.09

Shanghai Stock Exchange Dividend ETF To Be Listed

Date 15/01/2007

According to the recent announcement of AIG-Huatai Fund Management Co., Ltd. (AIG-Huatai), the SSE Dividend ETF carried out unit conversion on January 10. The fund unit's net value after conversion will be basically the same as 1‰ of the underlying index's closing price on the conversion day. It is learnt that the SSE Dividend ETF will soon be listed on the Shanghai Stock Exchange (SSE), with the secondary market's trading code of 510880 and the subscription and redemption code of 510881.

The SSE Dividend ETF, the only dividend index fund ever in China, was jointly developed by AIG-Huatai and the SSE. From its initial operation on November 20, 2006 to January 9, 2007, its return on investment had reached 33.7% in just one month and a half for opening a position. According to market insiders, the current average price-earnings ratio of the SSE Dividend ETF is still around 15 times. As a sector with low value appraisal and high potential on the current market, it has an obvious investment value. It is predicted that the SSE Dividend ETF, after the listing, will bring more returns to investors.